Author
Topic: Cryptohedge and the bter hack (Read 1183 times)

The BTER hack was really terrible for Cryptohedge because it put at risk all of the work we’ve been doing to improve bitAsset liquidity. Cryptohedge had almost all of its CFS asset funds on the exchange at the time of the attack.

We're working to figure out our exposure. We see the most likely outcome as the majority of all bitcoins will get a haircut while all altcoins will be returned.

Cryptohedge held around 93 BTC worth of CFS client funds on BTER in BTC, BTS, bitGold, and bitUSD. Of these funds about 27 BTC were exposed to the hack while the remaining funds were in assets or off exchange.

CFS asset funding is temporarily halted. Since the CFSBTC funding round just began and the BTC we received did not get touched, we'll refund those to anyone who is interested. Please PM me if you have CFSBTC and want to redeem it for your BTC.

To CFSGOLD and CFSUSD holders: We will be forthcoming with updates as soon as new information is made available by BTER and will arrange a buyback/withdrawal as soon as possible. Despite this huge setback we plan to keep Cryptohedge moving forward and get bitAsset liquidity going on Yunbi instead. This means there will also be the option of staying on as a funder. We hope to compensate for a part of the losses by doing an early CFSCOIN sharedrop on all funders. Only by moving forward and staying in business will this compensation have any value. We took a hit, but we’re not out.

Rune, did you think about increasing liquidity on the DEX instead of on centralized exchanges? What obstacles would you face there?

The biggest problem bitshares has at the moment is that we need an easy way to get in and out of bitassets from bitcoin. Unfortunately we cannot provide this in any other way than on centralized exchanges.

The BTER hack was really terrible for Cryptohedge because it put at risk all of the work we’ve been doing to improve bitAsset liquidity. Cryptohedge had almost all of its CFS asset funds on the exchange at the time of the attack.

We're working to figure out our exposure. We see the most likely outcome as the majority of all bitcoins will get a haircut while all altcoins will be returned.

Cryptohedge held around 93 BTC worth of CFS client funds on BTER in BTC, BTS, bitGold, and bitUSD. Of these funds about 27 BTC were exposed to the hack while the remaining funds were in assets or off exchange.

CFS asset funding is temporarily halted. Since the CFSBTC funding round just began and the BTC we received did not get touched, we'll refund those to anyone who is interested. Please PM me if you have CFSBTC and want to redeem it for your BTC.

To CFSGOLD and CFSUSD holders: We will be forthcoming with updates as soon as new information is made available by BTER and will arrange a buyback/withdrawal as soon as possible. Despite this huge setback we plan to keep Cryptohedge moving forward and get bitAsset liquidity going on Yunbi instead. This means there will also be the option of staying on as a funder. We hope to compensate for a part of the losses by doing an early CFSCOIN sharedrop on all funders. Only by moving forward and staying in business will this compensation have any value. We took a hit, but we’re not out.

Rune & Riverhead

Has trading resumed to normal? or is there still accounting and losses to account for?